Iraq Central Bank adopts ESG standards - ANBA News Agency

The Central Bank of Iraq (CBI) and the International Finance Corporation (IFC) signed an agreement on September 23 to enhance sustainable financing and develop guidelines for environmental and social risk management. The initiatives aim to improve local banks performance in managing environmental and social risks, offer sustainable banking products, and increase sector competitiveness. The Sustainable Finance Roadmap, to be implemented by 2029, will follow the ESG (environmental, social, and governance) concepts to promote financial stability and reduce environmental risks. The ESG code will establish standards and processes for banks to adopt in the coming years. The Central Bank of Iraq s governor, Ali Al-Alaq, highlighted the project as a testament to the banking sector s efforts to adhere to international best practices and keep pace with global developments. The IFC s regional director for Saudi Arabia, Lebanon, and Iraq, Fawaz Al-Balbisi, emphasized that these sustainable finance standards represent a systematic approach that the banking sector must achieve. The agreement between the CBI and IFC aims to promote sustainable banking practices in Iraq, aligning with global trends and contributing to the country s economic development. The IFC, a World Bank institution, supports private sector development in developing countries, and this collaboration will help Iraq s banking sector become more competitive and environmentally responsible. The partnership between the CBI and IFC is expected to have a positive impact on Iraq s financial system, as it will encourage banks to adopt sustainable practices and offer products that support environmental and social development. This collaboration will also help Iraq s banking sector align with international best practices and contribute to the country s overall economic growth. In summary, the Central Bank of Iraq and the International Finance Corporation have signed an agreement to improve sustainable financing and develop guidelines for environmental and social risk management in the banking sector. The initiatives aim to enhance local banks performance, offer sustainable banking products, and increase sector competitiveness. The Sustainable Finance Roadmap, to be implemented by 2029, will follow ES

Source: anba.com.br
Published on 2024-09-23